Scared Straight: Boomer Woes Inspiring Millennial Savers

By Matthew Heimer

In the Wall Street Journal today, E.S. Browning finds a silver lining in the financial struggles of the Baby Boomer generation: The boomers’ kids are getting their acts together. Americans in their mid-30s or younger are more likely than they were 10 years ago to be taking part in their workplace 401(k); they’re less likely to have credit card debt, and card balances are smaller among those who have them. What’s motivating them, in many cases, is having watched their parents lose their jobs and hit bottom in the Great Recession. (Browning’s most succinct generation-gap moment, for my money, is this quote: “’What if life throws me a curve ball like that?’ said the 27-year-old radio DJ.”)

Some point/counterpoint in the Comments section about how if these kids were really smart, they’d be stockpiling gold and silver and preparing for the government’s looming Debtpocalypse. Pithiest reader comment, from one “Donald Dewitt”: “Deferred gratification is difficult – unless the fear of scarcity is greater.”

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About Encore

Encore looks at the changing nature of retirement, from new rules and guidelines for financial security to the shifting identities, needs and priorities of people saving for and living in retirement. Our lead blogger is editor Matthew Heimer, and frequent contributors include editor Amy Hoak, writer Catey Hill, and MarketWatch columnists Elizabeth O’Brien, Robert Powell and Andrea Coombes. Encore also features regular commentary from The Wall Street Journal retirement columnists Glenn Ruffenach and Anne Tergesen and the Director of the Center for Retirement Research at Boston College, Alicia H. Munnell.